Poulsbo and Housing Kitsap set September open house for Nordic Cottages; move-in targeted mid-September

Poulsbo City Council and project partners announced on July 2 that construction of the Nordic Cottages at 609 NE Lincoln is on track to finish about a month ahead of schedule, with an open house planned for Friday, Sept. 12 and a target move-in date of Monday, Sept. 15.

The cottages are a set of eight one‑bedroom apartments on a triangular city parcel the council reserved for permanently affordable housing. Rob Gelder, Poulsbo city administrator, told the council the project — built by BJC Construction with architecture by Coates Design — has completed major site work, utilities, curb, gutter and sidewalk. Interior finishes and landscaping, including a community “Hope Garden” funded in part by a legislative appropriation, are underway.

The project is a city–Housing Kitsap partnership. Dean Nail of Housing Kitsap described the agency’s role: Housing Kitsap will serve as property manager, administer the project‑based Section 8 vouchers assigned to the development, run the tenant selection process and manage inspections and the HAP contract once tenants occupy the units. Freddie Linares, Housing Kitsap’s director of compliance, said the agency plans to open the waiting list in July and keep it open for two days; staff will be available in Housing Kitsap’s lobby during that period to assist applicants who cannot complete an online form.

Why it matters: the cottages are among Poulsbo’s first permanently affordable rental homes on city‑owned land tied to the council’s 2020 decision to set parcels aside for affordable housing and the one‑tenth‑of‑one‑percent local sales tax the city adopted in 2022 to fund housing and related services. The project also used outside grants and legislative funding, reducing the city’s net cost.

Key details and funding - Units: eight one‑bedroom apartments, maximum occupancy two people per unit. Housing Kitsap and the city determined two occupants best fit the unit sizes. - Schedule: construction awarded to BJC Construction; city staff said substantial completion is expected the first week of September; a contractor pre‑walk is tentatively scheduled for the Wednesday before the open house. - Open house and move‑in: tentative open house, Sept. 12 at 1 p.m.; target move-in Sept. 15. - Budget: overall project budget just under $4 million (construction, architecture, contingency, permits and connection charges). Outside commitments include a state legislative proviso secured by Representative Tara Simmons (about $400,000), a Kitsap County HOME/CDBG grant (about $400,000) and a state Commerce grant (about $300,000). Council members and staff said roughly $1.1 million in outside funds have been secured. - Operations: Housing Kitsap will bill project operating expenses to the project cash flow and collect rents; the parties expect the project cash flow to cover most operating costs and modest replacement reserves (staff estimated roughly $7,400 per year into a replacement reserve in current pro forma figures). Some bond payments or other costs could require subsidy from the city’s housing fund. - Vouchers: the project has eight project‑based vouchers committed; Housing Kitsap said the vouchers have been included in its two‑year projections and an AHAP/HAP agreement is in place.

Tenant selection and outreach Housing Kitsap staff summarized eligibility and preferences in the tenant selection plan the agency is updating for this property. The stated eligibility and preference points include: - Age and income: applicants must be seniors (62 and older) at or below 30% of county AMI (Housing Kitsap cited about $26,000 annual income at 30% AMI for Kitsap County). - Local preference: applicants who live or work in the Poulsbo area ZIP codes and households that are rent‑burdened will receive additional preference points. - Occupancy: one‑bedroom units are being limited to two persons maximum, a decision the city and Housing Kitsap made based on unit square footage. - Guests: Housing Kitsap’s standard lease allows guest stays (agency noted up to 14 days as consistent with its lease).

Housing Kitsap said the waiting list will be posted on its website and that the city will publish notice on its social channels and issue a press release to point residents to the Housing Kitsap site. Councilmembers suggested outreach to community partners (Fishline and other human‑services agencies and local media) and hanging signage at the site to direct interested applicants.

Council and staff comments Councilmembers and staff said the project reflects years of planning and several funding sources and partnerships, including Gateway Fellowship (parking assistance), local nonprofits (garden/landscaping partners) and the city’s internal departments (planning, engineering and housing/human services). Mayor Becky Erickson and councilmembers repeatedly praised Housing Kitsap’s project management and the city’s multi‑year work to create land and funding for permanently affordable housing.

What’s next for council Staff said the tenant selection plan and the Housing Kitsap property‑management agreement will be provided to council for review; those documents are informational and would not require council action for tenant selection but will allow council to see the selection criteria. A property‑management agreement and a more detailed pro forma are expected to return to council later this month for review and direction on ongoing oversight.

Provenance: The council workshop and Housing Kitsap presentation began at the reconvened meeting at approximately 71:12 (71 minutes, 12 seconds into the recorded transcript) and the Nordic Cottages discussion continued through the agenda to approximately 97:52; portions of the presentation, funding and tenant‑selection discussion are recorded in those transcript blocks.